[Federal Register Volume 67, Number 217 (Friday, November 8, 2002)]
[Notices]
[Pages 68101-68102]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-28524]


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DEPARTMENT OF COMMERCE

International Trade Administration

[C-437-805]


Notice of Countervailing Duty Order: Sulfanilic Acid From Hungary

AGENCY: Import Administration, International Trade Administration, 
Department of Commerce.

ACTION: Notice of Countervailing Duty Order: Sulfanilic Acid from 
Hungary.

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EFFECTIVE DATE: November 8, 2002.

FOR FURTHER INFORMATION CONTACT: Melani Miller or Daniel J. Alexy, 
Import Administration, International Trade Administration, U.S. 
Department of Commerce, 14th Street and Constitution Avenue, NW., 
Washington, DC 20230; telephone: (202) 482-0116 or (202) 482-1540, 
respectively.

Applicable Statute and Regulations

    Unless otherwise indicated, all citations to the statute are 
references to the provisions of the Tariff Act of 1930, as amended by 
the Uruguay Round Agreements Act effective January 1, 1995 (``the 
Act''). In addition, unless otherwise indicated, all citations to the 
Department of Commerce's (``the Department'') regulations are to 19 CFR 
part 351 (April 2001).

Scope of Order

    Imports covered by this order are all grades of sulfanilic acid 
(``sulfanilic acid'' or ``subject merchandise''), which include 
technical (or crude) sulfanilic acid, refined (or purified) sulfanilic 
acid, and sodium salt of sulfanilic acid.
    Sulfanilic acid is a synthetic organic chemical produced from the 
direct sulfonation of aniline and sulfuric acid. Sulfanilic acid is 
used as a raw material in the production of optical brighteners, food 
colors, specialty dyes, and concrete additives. The principal 
differences between the grades are the undesirable quantities of 
residual aniline and alkali insoluble materials present in the 
sulfanilic acid. All grades are available as dry, free flowing powders.
    Technical sulfanilic acid, currently classifiable under the 
subheading 2921.42.22 of the Harmonized Tariff Schedule (``HTS''), 
contains 96 percent minimum sulfanilic acid, 1.0 percent maximum 
aniline, and 1.0 percent maximum alkali insoluble materials. Refined 
sulfanilic acid, also currently classifiable under 2921.42.22 of the 
HTS, contains 98 percent minimum sulfanilic acid, 0.5 percent maximum 
aniline, and 0.25 percent maximum alkali insoluble materials.
    Sodium salt (sodium sulfanilate), currently classifiable under the 
HTS subheading 2921.42.90, is a powder, granular, or crystalline 
material which contains 75 percent minimum equivalent sulfanilic acid, 
0.5 percent maximum aniline based on the equivalent sulfanilic acid 
content, and 0.25 percent maximum alkali insoluble materials based on 
the equivalent sulfanilic acid content.
    Although the HTS subheadings are provided for convenience and 
customs purposes, the written description of the scope of this order is 
dispositive.

Countervailing Duty Order

    On September 25, 2002, the Department published in the Federal 
Register the Final Affirmative Countervailing Duty Determination: 
Sulfanilic Acid from Hungary, 67 FR 60223 (September 25, 2002).
    On November 1, 2002, in accordance with section 705(d) of the Act, 
the U.S. International Trade Commission notified the Department that a 
U.S. industry is ``materially injured,'' within the meaning of section 
705(b)(1)(A)(i) of

[[Page 68102]]

the Act, by reason of imports of sulfanilic acid from Hungary.
    Therefore, in accordance with section 706(a)(3) of the Act, on or 
after the date of publication of this notice in the Federal Register, 
Customs Service officers must require, at the same time as importers 
would normally deposit estimated duties, cash deposits for the subject 
merchandise equal to the countervailing duty rates as noted below. The 
``All Others'' rate applies to all exporters of sulfanilic acid from 
Hungary not specifically listed below:

------------------------------------------------------------------------
                                                            Ad valorem
                    Producer/exporter                      subsidy rate
                                                             (percent)
------------------------------------------------------------------------
Nitrokemia 2000 Rt......................................            2.87
All Others..............................................            2.87
------------------------------------------------------------------------

    Moreover, in accordance with section 706(a)(1) of the Act, the 
Department will direct the Customs Service to assess, upon further 
advice by the Department following the completion of a review requested 
under 19 CFR 351.213(b) or 19 CFR 351.214(b) (or if a review is not 
requested, in accordance with 19 CFR 351.212(c)), countervailing duties 
equal to the amount of the net countervailable subsidy determined to 
exist for entries of sulfanilic acid from Hungary.
    Pursuant to section 706(a)(1) of the Act, if appropriate, based on 
the above-noted advice from the Department, for all producers and 
exporters of sulfanilic acid from Hungary, countervailing duties will 
be assessed on all unliquidated entries of sulfanilic acid from Hungary 
entered, or withdrawn from warehouse, for consumption on or after March 
4, 2002, the date of publication of the Department's preliminary 
determination in the Federal Register (see Preliminary Affirmative 
Countervailing Duty Determination and Alignment of Final Countervailing 
Duty Determination With Final Antidumping Duty Determination: 
Sulfanilic Acid from Hungary, 67 FR 9696 (March 4, 2002)), and before 
July 2, 2002, the date the Department instructed Customs to discontinue 
the suspension of liquidation in accordance with section 703(d) of the 
Act (see also, The Statement of Administrative Action, H. Doc. No. 103-
316, Vol. 1 at 874 (1994), reprinted in 1994 U.S.C.C.A.N. 3773, 4163), 
and on all subject merchandise entered, or withdrawn from warehouse, 
for consumption on or after the date of publication of this 
countervailing duty order in the Federal Register.
    This notice constitutes the countervailing duty order with respect 
to sulfanilic acid from Hungary, pursuant to section 705(a) of the Act. 
Interested parties may contact the Central Records Unit, Room B-099 of 
the Main Commerce Building for copies of an updated list of 
countervailing duty orders currently in effect.
    This countervailing duty order is published in accordance with 
sections 706(a) and 777(i) of the Act and 19 CFR 351.211.

    Dated: November 4, 2002.
Faryar Shirzad,
Assistant Secretary for Import Administration.
[FR Doc. 02-28524 Filed 11-7-02; 8:45 am]
BILLING CODE 3510-DS-P